STRATUSD finds buyers again around 0.41
Stratis/US Dollar Index (STRATUSD) Technical Analysis Report for Oct 17, 2020 | by Techniquant Editorial Team
STRATUSD ended Saturday at 0.42 gaining $0.01 (2.44%) on low volume. The bulls were in full control today, moving the market higher throughout the whole session. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (STRATUSD as at Oct 17, 2020):
Saturday's trading range has been $0.01 (2.44%), that's far below the last trading month's daily average range of $0.02. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly lower than usual for STRATUSD.
After moving lower in the previous session, Stratis managed to close higher but below the prior day's open, forming a bullish Harami Candle. The last time this candlestick pattern showed up on October 5th, STRATUSD actually lost -6.98% on the following trading day. Additionally, three candlestick patterns are matching today's price action, the Bullish Short Candle, the Tweezer Bottom and the White Candle which are known as bullish patterns.
After having been unable to move lower than 0.41 in the previous session, the market found buyers again around the same price level today at 0.41.
Though Strat is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
Selling might speed up should prices move below the close-by swing low at 0.40 where further sell stops could get triggered. Further selling might move prices lower should the market test September's nearby low at 0.37.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Decisive Up Move" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for STRAT/USD. Out of 123 times, STRATUSD closed lower 55.28% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after four trading days, showing a win rate of 53.66% with an average market move of -1.18%.
With four out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are ETHUSD gaining 0.81% and BTCUSD closing 0.37% higher. On the flipside the worst performers have been BCHUSD closing -2.05% lower and LTCUSD losing -1.43%. Looking at the other Minor Cryptocurrencies, the winners of the day have been WAVESUSD surging 8.14% and WAVESBTC closing 7.59% higher. The worst performers of the day have been BCNUSD tanking -10.94% and BCHBTC closing -2.26% lower. Read more